BEFORE THE UTAH STATE TAX
COMMISSION
____________________________
XXXXX :
Petitioners, : AMENDED FINDINGS OF FACT
: AND ORDER
:
v. :
:
AUDITING
DIVISION OF THE : Appeal No. 91-1330
UTAH STATE TAX COMMISSION :
: Account
No. XXXXX
Respondent. :
____________________________
STATEMENT OF CASE
This
matter came before the Utah State Tax Commission upon a Petition for
Reconsideration, postmarked XXXXX filed by the Petitioners as a result of the
Commission's final decision dated XXXXX.
FINDINGS
1.
Utah Administrative Rule R861-1A-5(P) provides that a Petition for
Reconsideration "will allege as grounds for reconsideration either a
mistake in law or fact, or the discovery of new evidence." Under this
rule, the Tax Commission may exercise its discretion in granting or denying a
Petition for Reconsideration.
2.
In response to Petitioners' request for verification of certain findings of
fact, the following items are amended to reflect changes:
a.
Item 10: To clarify the findings of fact, item 10 is amended to read,
"XXXXX further stated that he would give the cash to his superior(s) who
often times needed the money just as the superior(s) was/were leaving on a
business trip."
b.
Item 13: Item 13 is amended to read, "XXXXX stated that he quit his
employment at XXXXX because of the "predicament" he was in. That is
to say, that because of the way his bosses chose not to comply with accounting
procedures, XXXXX left his employer. He explained that he stayed working with
XXXXX at the time because he could not afford to be out of work with a family
to support. At the same time, he was not in a position to tell his superiors
how to carry out proper accounting procedures.
Sometimes company officials did not bring him receipts to account for
petty cash money XXXXX had given them despite his requests to do so."
c.
Item 14: Item 14 is amended to read: "XXXXX, a certified public
accountant, warned his superiors that the failure to attach receipts to
business expenses may cause the state or the I.R.S. to disallow these
deductions should an audit occur."
d.
Item 15: Item 15 is not amended.
3.
After amending the findings of fact as stated above, the Tax Commission has
reviewed this case a second time as requested by Petitioners.
DECISION AND ORDER
Based
upon the foregoing, it is the decision and order of the Utah State Tax
Commission that XXXXX personal income for the years XXXXX and XXXXX was
correctly increased to reflect the check amounts in question as there is no
evidence to do otherwise.
The
ten percent penalty, however, is waived. The interest is not.
The
Tax Commission also notes that although this decision on this Petition for
Reconsideration is final; it remains subject to any subsequent determinations
by the Internal Revenue Service.
DATED
this 10th day of June, 1993.
BY ORDER OF THE UTAH STATE TAX COMMISSION.
R. H. Hansen Roger
O. Tew
Chairman Commissioner
Joe B.
Pacheco S.
Blaine Willes
Commissioner Commissioner